Two 4 Plexes Available in Third Ward in Houston Texas
Hi all,
I'm a long time bigger pockets member. I acquired 82 units from an investor last May. As part of that I picked up two four plexes in third ward. It's just a couple miles from downtown and in a gentrifying area. I'm listing both of them for $449,000 a piece. Wanted to post the properties here in case anyone is looking for a house hack investment opportunity. You could live in one unit and rent the other three. Reach out if you want more information.
Avg rents: $725
Year Built: 1960s
Heating/Electrical: Window Units
It's priced based on comps in the area. If you buy both I would be willing to come down in price. Feel free to reach out with any questions.
Quote from @Kevin Wood:
Hi all,
I'm a long time bigger pockets member. I acquired 82 units from an investor last May. As part of that I picked up two four plexes in third ward. It's just a couple miles from downtown and in a gentrifying area. I'm listing both of them for $449,000 a piece. Wanted to post the properties here in case anyone is looking for a house hack investment opportunity. You could live in one unit and rent the other three. Reach out if you want more information.
Avg rents: $725
Year Built: 1960s
Heating/Electrical: Window Units
It's priced based on comps in the area. If you buy both I would be willing to come down in price. Feel free to reach out with any questions.
are you willing to accept terms on these properties ?
Depends what terms are.
Quote from @Kevin Wood:
Depends what terms are.
are you only wanting to sell because of it being in a gentrifying area?
No I buy apartment buildings in Houston only and got this from a seller who was selling their whole portfolio so I filled most of the units then put it on the market.
Quote from @Kevin Wood:
No I buy apartment buildings in Houston only and got this from a seller who was selling their whole portfolio so I filled most of the units then put it on the market.
Can vouch for the deal. I tried to buy all these before Kevin jacked me (jk). Property/seller are solid.
Kevin, if you see them here I might toss my Museum district duplex/land deal on the site to see what happens.
I'm a Houston area investor and I was just looking at these last night. I can't recall, but are you only showing if someone submits an offer?
Also, I believe when I ran the numbers last night that at that sales price (and with an 8 percent interest rate) this property would not cash flow.
I realize you've only had it since May, but how is the turnover with tenants?
Happy to connect and thanks for posting
We haven't had any of our filled leases leave. We just acquired it last May. It's in Third Ward so will have similar turnover to the other multifamily in the area. You should be able to get 30 year debt on these and lower than 8% unless you have poor credit.
Quote from @Sara Hook:
I'm a Houston area investor and I was just looking at these last night. I can't recall, but are you only showing if someone submits an offer?
Also, I believe when I ran the numbers last night that at that sales price (and with an 8 percent interest rate) this property would not cash flow.
I realize you've only had it since May, but how is the turnover with tenants?
Happy to connect and thanks for posting
It's hard to find a property that'll cash flow with an 8% interest as not only do you need to have an 8 CAP (unreasonable on a stabilized property, even in this soft market), but the debt is going to have amortization on top of the interest. So depending on how much you put down you'd need a 9+ CAP property.
1-4 family properties will always trade at a lower cap since the buyers are typically able to get cheaper financing. You can get 30 year conforming freddie debt on this property where as on a 5+ you'd be looking at 7+% interest and 20-25 year am (with only a 5-7 year fixed term)
Both properties have offers of 425k. Contracts due by Friday.
Delano was placed under contract today at 440k. Drew is still available offers due by Friday.